Analyst Sees Risk-Reward In Favor Of Global Stocks

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On CNBC's "Squawk Alley", Samantha Azzarello of JPMorgan revealed that she prefers equities over fixed income at the moment.

She explained that risk-reward is in favor of stocks due to double digit earnings growth and strong global growth. Investors concerned about potential downside should invest in the U.S. stocks, because they're going to do better in the scenario of a broad based downturn. More optimistic investors should choose the international stocks and the emerging market stocks.

Azzarello likes the tech space and the financial sector. She explained that the financial sector doesn't have to be a rising rate story. She sees deep value and yield play in the sector and believes banks are going to return cash to shareholders. Azzarello thinks there are currently no signs that the economy is overheating.

Sameer Samana, Wells Fargo global strategist, said he likes the consumer discretionary sector which had a nice pull back. He also likes the industrial stocks, the health care and the financial sector. Among the industrial stocks, he would pick global companies, which can increase earnings. Samana added that expectations are higher in the healthcare sector and the financial sector, because they have already moved higher.

Posted In: Analyst ColorCNBCAnalyst RatingsMediaTrading IdeasJPMorganSamantha AzzarelloSameer SamanaWells Fargo
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